Busy Bee Of Fintech | Contractor
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Lending as a concept is quite ancient. Fintech startups gave this idea a facelift by using digital platforms to reach out to customers. KreditBee is a platform that facilitates loan transactions between borrowers and personal loan providers such as NBFCs/banks. All loan applications are approved and sanctioned by the NBFCs/banks registered with RBI. “Technology has played a major role in defining fintechs and digital lending,” said Madhusudan Ekambaram, Co-Founder and CEO, KreditBee
KreditBee was founded in 2018 and over the next four or five years used operational and customer data to make its risk models much more robust. Today cyber threats are widespread, to mitigate these challenges KreditBee released advertisements to further emphasize the importance of safeguarding one’s personal banking details. “You know your risk management is on point when you can quantify how much data you’ve leveraged to make your risk engines robust, I think that’s the real mode for all lending companies.”
“We take this responsibility as one of the biggest players to ensure that we educate customers correctly about what they should be getting into. I don’t think digital lending has been without its own problems. There have been so many problems, from illegal lending apps to Chinese lending apps where customers have been victimized. Now it’s the responsibility of some of the key players to either independently or as a company or through an industry body, continually use, put some resources into educating customers,” he said.
How is the startup different from others? “Loans are basically about controlling the cost of acquiring customers, whether you’re able to underwrite and give loans to people you can recover from – meaning you know NPA or NPL.”
The start-up develops customer-centric products. What started as a personal loan company is now trying to come out with SME or corporate loan products to cater to the growing customer demand. It also works with many car finance companies to provide loans in these areas. “Customers need other financial services as well, they are looking to buy insurance and we are trying to enter the market. We are trying to create one app that will include all the financial services.”
Fact sheet:
· Grant amount received: 350 million dollars
· Start-up year: 2016
· Number of employees: 2400
· Number of app downloads: 60 million+
